The Latest News:
- According to central bank minutes, the Reserve Bank of Australia is set to hold benchmark rates at the record low of 2.5% “for some time,” reports Elizabeth Redman for The Australian.
- “Members noted that the recent momentum in households’ risk appetite and borrowing behaviour warranted close observation, but agreed that present conditions in the household sector did not pose a near-term risk to the financial system,” the minutes said.
- Australian bond prices dipped after the U.S. Federal Reserve announced the possibility of raising rates in the first half of 2015, the AFP reports.
- “They sold off pretty strongly in reaction to the Federal Open Market Committee and they have been slowly retracing that move for the rest of the day,” Commonwealth Bank of Australia interest rate strategist Philip Brown said in the AFP article.”We have moved three to four points which is a fairly solid move.”
PIMCO Australia Bond Index ETF
For past stories in this series, visit our ETF Spotlight category.
Max Chen contributed to this article.